HLHB System Update (December 2 – 6, 2013)

Read all about my HLHB Trend Catcher System if this is your first time hearing about it!

EUR/USD

EURUSD

What a close fight! EUR/USD had a couple of bad trades but it was offset by winners of almost the same size. In the end, the tug-o-pips ended with the losses overcoming winners by 12 pips. Better luck next week!

# Signal Open Close Pips Notes
1 Buy 1.3605 1.3552 -50 Stop loss hit
2 Sell 1.3552 1.3552 0 RSI was already below 50
3 Buy 1.3553 1.3565 12 Trailing stop hit
4 Sell 1.3580 1.3591 -11 New crossover
5 Buy 1.3591 1.3591 0 RSI was already above 50
6 Sell 1.3547 1.3558 -11 Trailing stop hit
7 Buy 1.3588 1.3588 0 RSI was already above 50
8 Sell 1.3587 1.3593 -6 Trailing stop hit
9 Buy 1.3615 1.3669 54 New crossover
10 Buy 1.3669 1.3669 0 RSI was already above 50
TOTAL -12

GBP/USD

GBPUSD

GBP/USD finally yielded consecutive gains! Cable was almost on a steady downtrend throughout the week with the HLHB system catching some tops and bottoms. By the end of the week we’re looking at a 50-pip gain. Woot! Woot!

# Signal Open Close Pips Notes
1 Sell 1.6390 1.6368 22 New crossover
2 Buy 1.6368 1.6387 19 New crossover
3 Sell 1.6387 1.6380 7 New crossover
4 Buy 1.6380 1.6380 0 RSI was already above 50
5 Sell 1.6352 1.6340 12 New crossover
6 Buy 1.6340 1.6327 -13 New crossover
7 Sell 1.6327 1.6344 -17 End-of-week trade
TOTAL 30

Let me know if you have any questions!

XOXO,

Huck

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  • ForExchange

    Hi Forex Noob,

    can you please describe what does “New Crossover hit”? And in this program you actually decide when you would like to entry the trades or you just set specific options in the program and it is fully automated?

    Thanks,
    ForExchange

  • ForExchange

    Hi there again,

    I check now everything more in detail and I do also not understand why is it matter that RSI was over 50 and what it exactly means.

    Based on RSI I also do not understand some of the decisions that was made. According to my knowledge on RSI I would have thought to following decisions to make:

    GBP/USD: 6. sell
    EUR/USD: 9. buy and 10. buy

    By EUR/USD the 9. sell worked out good for you but I do not get why it was made based on RSI.

    And there are also some other trades for example EUR/USD 7. buy that I did not really understand why it took place based on RSI why the figure shows that the value was exactly in the middle of the graph, so I could have not decided if I should buy or sell.

    Thanks again and I am waiting for your answers,

    ForExchange

    • Hucklekiwi Pip

      Thanks for these questions, ForExchange. They’re always welcome.

      1. I automated signals for crossovers but manually enter at the close of the candles with crossover signals on them.

      2. I check the RSI level of previous candle and look for a cross below or above 50. A cross simply supports the idea that a trend is strong enough to pull the indicator below/above the middle line. Oscillators like RSI are usually more helpful in a ranging environment but I use it to help confirm the strength of a trend. Hmm, maybe I should use ADX again.

      3. As for the signals…
      GBP/USD #6 – RSI didn’t cross above 50 until the signal. EUR/USD #9 and #10. Not sure I understand. Both are buy signals :)

      Hope this reply helps :)